Subsea 7 Awarded Offshore Contracts in Australia and US Gulf of Mexico

The company announced both contract awards simultaneously. The new contract awards could be worth up to $800 million.

Subsea 7 subsea installation vessel at night
Subsea 7

Offshore engineering, construction, and services company Subsea 7 was awarded two contract awards worth upwards of $800 million with one being offshore in Northern Territory of Australia and the other in the US Gulf of Mexico

The company’s contract in Australia, worth between $300–$500 million, was awarded by ConocoPhillips Australia Barossa Pty Ltd to deliver the subsea umbilicals, risers, and flowlines scope for the Barossa project, which is a joint venture between ConocoPhillips Australia Barossa (37.5%), SK E&S Australia Pty Ltd (37.5%), and Santos Offshore Pty Ltd (25%).

The Barossa field is located 300 km offshore Darwin in the Northern Territory of Australia.

Subsea 7’s scope of work includes project management, engineering, procurement, fabrication, transportation, installation, and precommissioning of 36 km of flowlines and associated client-supplied risers, umbilicals, and subsea structures in water depths between 230 and 270 m.

The Barossa project is currently awaiting final investment decision, and the offshore work scope is scheduled to occur in 2022 and 2023, using Subsea 7’s reel-lay and heavy construction vessels.

Subsea 7’s second smaller contract award, worth between $150–300 million, was awarded by Murphy Exploration and Production Company-USA for the subsea installation services related to the Samurai, Khaleesi, and Mormont developments tying back to the King’s Quay semisubmersible. The King’s Quay host facility is approximately 175 miles south of New Orleans in the Green Canyon area of the Gulf of Mexico. The contract also overs the tieback of seven subsea wells to the host facility.

The project scope includes engineering, procurement, construction, installation, and commissioning of all subsea equipment including pipeline end termination, pipeline end manifold umbilicals, and distribution hardware, production and export flowlines and jumpers, as well as the wet tow in the Gulf of Mexico to the fields and mooring system installation of the semisubmersible floating production storage

The company said project management and engineering for the contract would commence at its offices in Houston, while fabrication of the flowlines and risers will be at its spoolbase in Ingleside, Texas. Offshore operations for this project are expected to occur in 2021.